How Innovating Offers Leads to Radically Better Promotions

24 Pages·2014·3.11 MB·English

by  Jeff Wayne

Collaborative Promotion Optimization
& Continuous Improvement Summit
TPM-TPO-
Collaborative
Marketing
is BI GGER
in Dallas!

How Innovating Offers Leads to Radically Better
Promotions

How leading consumer goods companies such as BIC, Unilever, and AB InBev are able to
uncover more effective in-store promotions by digitally micro-testing thousands of offer
variations with real shoppers.
Promotion Optimization Institute • Fall Summit 2014 • Dallas, TX
Notice of Confidentiality
This document is strictly confidential and prepared for the purposes of
evaluating a potential license of Eversight, Inc.’s technology. None of its
contents may be shared without the express written permission of the
authors. Patents pending. All rights are reserved. Copyright 2014. Do not
duplicate. If you are not the intended recipient of this file please destroy
immediately and contact the author at [phone].
Strictly confidential. Do not duplicate. Do not forward. Copyright 2014. All rights reserved. 2
Speaker bio
David Moran, Co-Founder
• Global VP of Revenue Management for
Anheuser-Busch InBev nv/sa
• Leader in McKinsey & Company’s
Consumer Pricing Practice
• Led McKinsey’s early development of its
Trade Promotions Optimization software
for CPG
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The consumer goods squeeze
Pressure to grow top line
Lower trade budgets
Underperforming promotions
Inadequate analytical tools
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17% 50%+ 25%
Trade rate in 2012 % promos lose $ Trade rate by 2016
The
$300B
Challenge
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Sea of Sameness
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What if you knew precisely which
promotions would work best before
running them?
What if you could be right every time?
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Introducing Trade Promotion Innovation (TPI)
Introducing
OFFER
INNOVATION
8
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Promotion Technology Landscape
Plan with insight &
Find the best promotions Measure results
manage execution
Digitally micro-test new Build promotion calendars, Determine the best past
offer concepts and simplify planning for account promotions after they
identify the very best in- managers, forecast impact, are run
1
5 store promotions and compare scenarios.
0
o
atc Manage workflow & update Trade Promotion
n
e
Offer Innovation forecast for final execution Evaluation (TPE/TPO)

Trade Promotion Planning
& Management (TPP/TPM)
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Thinking beyond price
Information framing Naïve diversification Numerosity
Affinity Anchoring
Behavioral Economics &
Consumer Choice
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